CIBC Research discusses its reaction to today's Canada jobs report.
"Canada's labour market continued to make noise in March. There was another boom in hiring, with the economy adding 300K jobs, pulling the unemployment rate all the way down to 7.5%. That was a much better reading than the gain of 100K jobs expected, which would have seen the unemployment rate fall to only 8.0%. It also comes after seeing employment rise 260K in the prior month. The gains coincided with further reopenings across the country and took employment to within 1.5% of its pre-COVID level. Indeed, much of the hiring over the past couple of months has occurred in the sectors hardest hit by shutdowns. But now, with stricter public health orders again necessary to curb the virus' spread in many parts of the country, there's reason to believe at least some of this progress will be reversed in the near-future," CIBC notes.
"The Canadian dollar is trading stronger and yields have moved higher following the release of the data, but some of this information should be considered 'old' news' given the recent turn of events regarding shutdowns, which risk seeing job losses in upcoming reports," CIBC adds.